DALLAS – Some North Texas-based businesses felt the impact of two major banks collapsing over the weekend. They quickly got creative to turn the downfall into deals.
Silicon Valley Bank’s customers felt the effect of frozen assets all across the country and right here in North Texas.
Silicon Valley Bank crisis: Feds move in to help
While the federal government is stepping in to make sure those customers, many of them small and startup businesses now have access to their money. The uncertainty of liquidity caused companies to get creative.
That includes Dallas-based Alto. The ride-share company has built its reputation on safety and reliability with background checks and professional training for drivers.
Over the weekend, Alto reached out to customers to reassure them of their long-term strength but also to ask for their support to improve their liquidity position in the short term.
They offered the following deals:
-$5 off a Sunday ride
– 30-40% off your next 4-10 rides
– 25% savings on annual membership fees
SVB had become the go-to bank for tech startups. But last Wednesday, it announced it had sold a bunch of securities at a loss and would also dump more than $2 billion in new shares.
That set venture capitalists on high alert and the bank’s stock went into freefall before the California regulators had to step in, shutting the bank down and placing it in receivership under the federal deposit insurance corporation.